Custodial services provided by Fidelity and Schwab

"Custody" is a safekeeping service that a financial institution such as a registered broker-dealer, commercial bank or trust company (the "custodian") provides for a client's securities.  The custodian:

  • provides confirmations of trading activities
  • collects dividends, interest, and proceeds from security sales
  • enable the transfer of assets between brokerage accounts at custodian
  • disburses funds according to the customer's written instructionss
  • provides a monthly and year end report with confirmation of the valuation of assets and securities in the client's accounts
  • provides annual tax statements for clients' accounts